The Kernutt Stokes Advisor

What’s the Best Type of Business Entity for Tax Purposes

There are several major types of business entities, including S Corporations, C Corporations, Limited Liability Companies (LLCs) and self-employment. Each type of structure has its own advantages and disadvantages when it comes to taxes, assets and liability protection. Generally, certain types of businesses are best for certain professions from a tax perspective; however, in light of the tax law changes…

Qualified Charitable Distributions in the Wake of Tax Reform

Qualified charitable distributions (QCD) have been a key component of many tax strategies since they were first introduced in 2006. Up until the passage of the Tax Cuts and Jobs Act (TCJA), QCDs were employed by many taxpayers to simultaneously make charitable donations and meet the required minimum distributions of their individual retirement accounts. However, with the advent of the…

Kernutt Stokes Service Spotlight – Beverage Industry

Each type of beverage manufacturer is unique in their industry and faces their own set of challenges, whether in material acquisition, manufacturing and distribution, or food safety legislation. The Kernutt Stokes Beverage Industry team specializes in services to breweries, wineries, and other beverage industry manufacturers and understands the intricacies these businesses face each day. We work with our clients to…

Entertainment Expense vs. Business Meal Deduction

By Jennifer Cranford, CPA The 2017 Tax Reform Act, which was signed in to law on December 22, 2017, includes changes in the deductibility of entertainment expenses.  Entertainment costs are now 100% non-deductible.  Business meals, on the other hand, remain 50% deductible if certain criteria are met. Notice 2018-76 issued October 2018, clarifies the guidance for the treatment of expenses…

America: The Land of Opportunity!

By Erik Parrish America has long been termed “the land of opportunity.” The phrase dates back to the 16th century when immigrants came to the land to enjoy a fresh start, build a new future for their families, and partake in the abundance that the land had to offer. The immigrants took full advantage of the opportunity, both in positive…

IRS Releases New Projected 2019 Tax Rates, Brackets and More

Bloomberg recently released projected tax rates, brackets and other numbers that apply to the 2019 tax year (the IRS will release the official numbers later this year). Note, these are NOT the numbers that apply to the 2018 taxes you file in 2019, but to the income and activity that occurs during the 2019 tax year that starts January 1, 2019….